LONDON, April 8, 2013 /PRNewswire/ -- The oil and gas industry is the largest revenue generator for the industrial valves and actuators market, globally. As a result, the exploration of new oil and gas fields, with the corresponding increase in investments in refineries and pipelines in key growth regions, is likely to have a high impact on market prospects. The market will also benefit from the rising demand for automation and infrastructure modernisation.
New analysis from Frost & Sullivan ( http://www.industrialautomation.frost.com), Strategic Analysis of the Global Industrial Valves and Actuators Market, finds that the market earned revenues of $18.37 billion in 2012 ( $17.65 billion in 2011 the base year for the report) and estimates this to reach $22.10 billion in 2016.
"Currently, significant oil exploration activity is taking place in Africa, South America, the Middle East and Russia," noted Frost & Sullivan Industrial Automation and Process Control Research Associate Niranjan Paul. "These regions will, therefore, be the focus of industrial valve and actuator manufacturers and provide sustainable growth opportunities."
In the Middle East, Iraq is emerging as a prime market for major oil companies. The country is also projected to spend nearly $27.00 billion on new power generation, distribution and transmission projects between 2012 and 2017. These trends mark out Iraq as a significant market for industrial valves and actuators.However, political uncertainty in North Africa and the Middle East is affecting the oil and gas industry. This, together with sanctions imposed on Iran and Syria – major markets for the oil and gas and power generation industries – has the potential to dampen revenues of industrial valve and actuators manufacturers. In the more developed regions of North America and Europe, environmental legislations are playing an important role in shaping the course of the market. Here, stringent regulations are likely to have an impact across end-user industries. "In the oil and gas industry, regulations are in place to reduce air pollution by targeting a reduction of smog forming volatile organic compounds (VOC) emissions," explained Paul. "The design of process equipment such as valves and actuators will be instrumental in achieving lowered plant emissions."